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Finance (No. 2) Act 1992

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Commencement Orders yet to be applied to the Finance (No. 2) Act 1992

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Commencement Orders

This section lists the commencement orders yet to be applied to the whole Act. These effects are included in this view as they may be (but won’t necessarily be) relevant to the specific provision that you are viewing. Where applicable the commencement orders are listed under two headings, firstly those that bring some part of the Act you are viewing into force and secondly, those that bring into force legislation that affects some part of the legislation you are viewing. If you are viewing a prospective version or there is a prospective version available there may be commencement orders listed here that are relevant to the provision you are viewing.

Commencement Orders bringing legislation that affects this Act into force:

Chapter IE+W+S+N.I. General

Lower rateE+W+S+N.I.

19 Lower rate: further provisions.E+W+S+N.I.

(1)In section 7(4) of the M1Taxes Management Act 1970 for “basic rate" there shall be substituted “ the basic rate or the lower rate ”.

(2)In each of the provisions to which this subsection applies, after “basic rate" there shall be inserted “ or the lower rate ”; and this subsection applies to section 91(3)(c) of the Taxes Management Act 1970 and to sections 550(3) and 599A(7) of the Taxes Act 1988.

(3)In each of the provisions to which this subsection applies, after “all income tax" there shall be inserted “ not chargeable at the lower rate ”; and this subsection applies to sections 167(2A), F1. . ., F2. . . , 549(2), F3. . ., 699(2) and 819(2) of the Taxes Act 1988 and to the definition of “excess liability" in paragraph 19(1) of Schedule 7 to that Act.

F4(4). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F2(5). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(6)In section 421(1)(c) of the Taxes Act 1988 for “shall, notwithstanding that paragraph, be treated" there shall be substituted “ shall be treated as income which is not chargeable at the lower rate and, notwithstanding that paragraph, shall be treated ”.

(7)This section shall apply for the year 1992-93 and subsequent years of assessment.

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Amendments (Textual)

F1Words in s. 19(3) repealed (27.7.1993 with effect for the years 1993-94 and subsequent years of assessment) by 1993 c. 34, s. 213, Sch. 23 Pt. III, Note

F2S. 19(5) and words in s. 19(3) repealed (3.5.1994 with effect in accordance with s. 81(6) of the repealing Act) by 1994 c. 9, s. 258, Sch. 26 Pt. V(2), Note

F3Words in s. 19(3) repealed (1.5.1995 with effect for the year 1995-1996 and subsequent years of assessment) by 1995 c. 4, s. 162, Sch. 29 Pt VIII(8), Note

F4S. 19(4) repealed (in force in accordance with s. 73 and Sch. 6 of the repealing Act) by 1996 c. 8, s. 205, Sch. 41 Pt. V(1), Note(1)

Marginal Citations

Married couple’s allowance etc.E+W+S+N.I.

20 Married couple’s allowance etc.E+W+S+N.I.

Schedule 5 to this Act (which makes provision in relation to the married couple’s allowance) shall have effect.

Corporation tax charge and rateE+W+S+N.I.

21 Charge and rate of corporation tax for 1992.E+W+S+N.I.

Corporation tax shall be charged for the financial year 1992 at the rate of 33 per cent.

22 Small companies.E+W+S+N.I.

For the financial year 1992—

(a)the small companies’ rate shall be 25 per cent., and

(b)the fraction mentioned in section 13(2) of the Taxes Act 1988 (marginal relief for small companies) shall be one fiftieth.

Capital gains taxE+W+S+N.I.

F523. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S+N.I.
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Amendments (Textual)

F5S. 23 repealed (27.7.1999 with effect for the year 1999-00 and subsequent years of assessment) by 1999 c. 16, s. 139, Sch. 20 Pt. III(1), Note

Groups etc.E+W+S+N.I.

24 Amendments relating to group relief etc.E+W+S+N.I.

Schedule 6 to this Act (which contains amendments relating to group relief etc.) shall have effect.

25 Companies ceasing to be members of groups.E+W+S+N.I.

F6(1). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(2)Subject to the repeals made by the M2Taxation of Chargeable Gains Act 1992, in relation to a company which ceases to be a member of a group of companies on or after 15th November 1991 section 278 of the M3Income and Corporation Taxes Act 1970 (deemed sale etc. where company ceases to be member of a group) shall have effect, and be deemed to have had effect, with the substitution in subsection (1) of the words “ in consequence of another member of the group ceasing to exist ” for the words from “by being wound up" to the end of the subsection.

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Amendments (Textual)

F6S. 25(1) repealed (28.7.2000 with effect as mentioned in Sch. 40 Pt. II(12) Note 11 of the amending Act) by 2000 c. 17, s. 156, Sch. 40 Pt. II(12)

Marginal Citations

Charities etc.E+W+S+N.I.

F726. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S+N.I.
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Amendments (Textual)

F7S. 26 repealed (27.7.1993 with effect in accordance with s. 67 as mentioned in Sch. 23 Pt. III Note) by 1993 c. 34, s. 213, Sch. 23 Pt.III Note

F827. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S+N.I.
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Amendments (Textual)

F8S. 27 repealed (1.5.1995 with effect for the year 1995-96 and subsequent years of assessment) by 1995 c. 4, s. 162, Sch. 29 Pt. VIII(8), Note

28 Powers of inspection.E+W+S+N.I.

(1)Subsection (2) below applies if—

(a)an exempt body has made a claim for exemption from tax under section 505(1), 507 or 508 of the Taxes Act 1988, and

(b)the exemption results in, or (where it has yet to be granted or allowed) would if granted or allowed result in, the repayment of income tax or the payment of a tax credit.

(2)The Board may require the body to produce for inspection by an officer of the Board all such books, documents and other records in the possession, or under the control, of the body as contain information relating to the claim.

(3)For the purposes of subsection (1) above each of the following is an exempt body—

(a)any body of persons or trust established for charitable purposes only;

(b)each of the bodies mentioned in section 507 of the Taxes Act 1988 (heritage bodies);

(c)any Association of a description specified in section 508 of that Act (scientific research organisations).

(4)In the Table in section 98 of the M4Taxes Management Act 1970 (penalties for failure to produce documents etc.) at the end of the second column there shall be inserted—

Section 28(2) of the Finance (No.2) Act 1992.

(5)Section 94 of the M5Finance Act 1990 (donations to charity: inspection powers) shall cease to have effect.

(6)This section shall apply in relation to claims made after the day on which this Act is passed.

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Marginal Citations

Interest, dividends and distributionsE+W+S+N.I.

29 Returns of interest.E+W+S+N.I.

(1)In section 17 of the M6Taxes Management Act 1970 (returns of interest) in subsection (4) (interest not required to be included in return if declaration that person beneficially entitled to interest not ordinarily resident in UK) the words from “and if a person" to the end of the subsection shall cease to have effect and after that subsection there shall be inserted the following subsections—

(4A)If a person to whom any interest is paid or credited in respect of any money received or retained in the United Kingdom by notice in writing served on the person paying or crediting the interest—

(a)has declared that the person beneficially entitled to the interest is a company not resident in the United Kingdom, and

(b)has requested that the interest shall not be included in any return under this section,

the person paying or crediting the interest shall not be required to include the interest in any such return.

(4B)Subsection (4C) below shall apply where—

(a)as a result of a declaration made under section 481(5)(k) of the principal Act and the operation of section 482(5) of that Act in relation to that declaration, there is no obligation under section 480A(1) of that Act to deduct a sum representing income tax out of any interest paid or credited in respect of any money received or retained in the United Kingdom, and

(b)the person who makes the declaration referred to in paragraph (a) above, by notice in writing served on the person paying or crediting the interest, requests that the interest shall not be included in any return under this section.

(4C)Where this subsection applies, the person paying or crediting the interest shall not be required to include the interest in any return under this section.

(2)This section shall apply to interest paid or credited after the day on which this Act is passed.

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Marginal Citations

F930. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S+N.I.
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Amendments (Textual)

F9S. 30 repealed (29.4.1996 with effect in accordance with Sch. 7 of the repealing Act) by 1996 c. 8, s. 205, Sch. 41 Pt. V(2) Note

31 Equity notes.E+W+S+N.I.

(1)In section 209 of the Taxes Act 1988 (meaning of “distribution" for purposes of Corporation Tax Acts) in subsection (2)(e) after sub-paragraph (vi) there shall be inserted or

(vii)equity notes issued by the company (“the issuing company”) and held by a company which is associated with the issuing company or is a funded company;.

(2)In that section the following subsections shall be inserted after subsection (8)—

(9)For the purposes of subsection (2)(e)(vii) above a security is an equity note if as regards the whole of the principal or as regards any part of it—

(a)the security’s terms contain no particular date by which it is to be redeemed,

(b)under the security’s terms the date for redemption, or the latest date for redemption, falls after the expiry of the permitted period,

(c)under the security’s terms redemption is to occur after the expiry of the permitted period if a particular event occurs and the event is one which (judged at the time of the security’s issue) is certain or likely to occur, or

(d)the issuing company can secure that there is no particular date by which the security is to be redeemed or that the date for redemption falls after the expiry of the permitted period;

and the permitted period is the period of 50 years beginning with the date of the security’s issue.

(10)For the purposes of subsection (2)(e)(vii) above and subsection (11) below a company is associated with the issuing company if—

(a)the issuing company is a 75 per cent. subsidiary of the other company,

(b)the other company is a 75 per cent. subsidiary of the issuing company, or

(c)both are 75 per cent. subsidiaries of a third company.

(11)For the purposes of subsection (2)(e)(vii) above a company is a funded company if there are arrangements involving the company being put in funds (directly or indirectly) by the issuing company or a company associated with the issuing company.

(3)In section 212 of the Taxes Act 1988 (exclusions from “distribution") in subsection (1)(b) after “(vi)" there shall be inserted “ and (vii) ”.

(4)This section shall apply where the interest or other distribution is paid after 14th May 1992.

32 Information relating to distributions.E+W+S+N.I.

(1)The following section shall be inserted after section 234 of the Taxes Act 1988—

234A Information relating to distributions: further provisions.

(1)This section applies where dividend or interest is distributed by a company which is—

(a)a company within the meaning of the Companies Act 1985 or the Companies (Northern Ireland) Order 1986, or

(b)a company created by letters patent or by or in pursuance of an Act.

(2)If the company makes a payment of dividend or interest to any person, and subsection (3) below does not apply, within a reasonable period the company shall send an appropriate statement to that person.

(3)If the company makes a payment of dividend or interest into a bank or building society account held by any person, within a reasonable period the company shall send an appropriate statement to either—

(a)the bank or building society concerned, or

(b)the person holding the account.

(4)In a case where—

(a)a statement is received by a person under subsection (2) or (3)(b) above,

(b)the whole or part of the sum concerned is paid to or on behalf of the person as nominee for another person, and

(c)the nominee makes a payment of the sum or part to the other person and subsection (5) below does not apply,

within a reasonable period the nominee shall send an appropriate statement to that person.

(5)In a case where—

(a)a statement is received by a person under subsection (2) or (3)(b) above,

(b)the whole or part of the sum concerned is paid to or on behalf of the person as nominee for another person, and

(c)the nominee makes a payment of the sum or part into a bank or building society account held by the other person,

within a reasonable period the nominee shall send an appropriate statement to either the bank or building society concerned or the other person.

(6)In the case of a payment of interest which is not a qualifying distribution or part of a qualifying distribution, references in this section to an appropriate statement are to a written statement showing—

(a)the gross amount which, after deduction of the income tax appropriate to the interest, corresponds to the net amount actually paid,

(b)the rate and the amount of income tax appropriate to such gross amount,

(c)the net amount actually paid, and

(d)the date of the payment.

(7)In the case of a payment of dividend or interest which is a qualifying distribution or part of a qualifying distribution, references in this section to an appropriate statement are to a written statement showing—

(a)the amount of the dividend or interest paid,

(b)the date of the payment, and

(c)the amount of the tax credit to which a person is entitled in respect of the dividend or interest, or to which a person would be so entitled if he had a right to a tax credit in respect of the dividend or interest.

(8)In this section “send” means send by post.

(9)If a person fails to comply with subsection (2), (3), (4) or (5) above, the person shall incur a penalty of £60 in respect of each offence, except that the aggregate amount of any penalties imposed under this subsection on a person in respect of offences connected with any one distribution of dividends or interest shall not exceed £600.

(10)The Board may by regulations provide that where a person is under a duty to comply with subsection (2), (3), (4) or (5) above, the person shall be taken to comply with the subsection if the person either—

(a)acts in accordance with the subsection concerned, or

(b)acts in accordance with rules contained in the regulations;

and subsection (9) above shall be construed accordingly.

(11)Regulations under subsection (10) above may make different provision for different circumstances.

(2)In section 234 of that Act—

(a)in subsection (1) for “subsections (3) and (4) below" there shall be substituted “ section 234A ”;

(b)subsections (3) and (4) shall be omitted.

(3)In section 468(3) of that Act for “234(3) and (4)" there shall be substituted “ 234A ”.

(4)This section shall apply in relation to distributions begun after the day on which this Act is passed.

Securities and depositsE+W+S+N.I.

F1033. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S+N.I.
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Amendments (Textual)

F10S. 33 repealed (29.4.1996 with effect in accordance with ss. 80-105 of the repealing Act) by 1996 c. 8, s. 205, Sch. 41 Pt V(3), Note

34 Rights in pursuance of deposits.E+W+S+N.I.

Schedule 8 to this Act (which contains provisions about arrangements relating to rights in pursuance of deposits) shall have effect.

35 Exchange of securities.E+W+S+N.I.

F11(1). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(2)Subject to the repeals made by the Taxation of Chargeable Gains Act 1992, in relation to exchanges made on or after 1st January 1992 section 85 of the M7Capital Gains Tax Act 1979 (exchange of securities for those in another company) shall have effect, and be deemed to have had effect, with the insertion after subsection (1)(b) of or

(c)company A holds, or in consequence of the exchange will hold, the greater part of the voting power in company B.

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Amendments (Textual)

F11S. 35(1) repealed (24.7.2002 with effect as mentioned in Sch. 9 paras. 7, 8 of the amending Act) by 2002 c. 23, s. 141, Sch. 40 Pt. 3(2)

Marginal Citations

Employee sharesE+W+S+N.I.

36 Employee share ownership trusts.E+W+S+N.I.

(1)In section 69 of the M8Finance Act 1989 (chargeable events as regards employee share ownership trusts) the following shall be inserted after subsection (3)—

(3A)For the purposes of subsection (1)(a) above a transfer is also a qualifying transfer if it is made by way of exchange in circumstances mentioned in section 85(1) of the Capital Gains Tax Act 1979 or section 135(1) of the Taxation of Chargeable Gains Act 1992.

(2)This section applies in relation to exchanges made on or after 1st January 1992.

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Marginal Citations

37 Employee share schemes: special benefits.E+W+S+N.I.

(1)Section 80 of the M9Finance Act 1988 (unapproved employee share schemes: charge on special benefits) shall be amended as follows.

(2)The following subsections shall be substituted for subsection (2)—

(1A)If when a benefit is received the company is a dependent subsidiary and its shares are of a single class, the benefit is a special benefit for the purposes of subsection (1) above.

(2)A benefit which does not fall within subsection (1A) above is a special benefit for the purposes of subsection (1) above unless—

(a)when it becomes available it is available to at least ninety per cent. of the persons who then hold shares of the same class as those which, or an interest in which, the person acquired, and

(b)any of the conditions in subsection (3) below is satisfied.

(3)In subsection (3) (other conditions) in paragraph (a) for “of the class concerned" there shall be substituted “ in respect of which the benefit is received ”.

(4)In paragraph (c) of subsection (3) for “its shares are of a single class" there shall be substituted the majority of its shares in respect of which the benefit is received are held otherwise than by or for the benefit of—

(i)directors or employees of the company,

(ii)a company which is an associated company of the company but is not its parent company, or

(iii)directors or employees of a company which is an associated company of the company.

(5)The following subsection shall be inserted after subsection (3)—

(3A)For the purposes of subsection (3)(c)(ii) above a company is another company’s parent company if the second company is a subsidiary of the first.

(6)This section shall apply in relation to benefits received on or after 12th November 1991.

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Marginal Citations

Business expansion schemeE+W+S+N.I.

F1238. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S+N.I.
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Amendments (Textual)

F12S. 38 repealed (3.5.1994 with effect in relation to shares issued on or after 1.1.1994) by 1994 c. 9, s. 258, Sch. 26 Pt. V(17), Note

F1339. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S+N.I.
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Amendments (Textual)

F13S. 39 repealed (3.5.1994 with effect in relation to shares issued on or after 1.1.1994) by 1994 c. 9, s. 258, Sch. 26 Pt. V(17), Note

F1440. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S+N.I.
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Amendments (Textual)

F14S. 40 repealed (3.5.1994 with effect in relation to shares issued on or after 1.1.1994) by 1994 c. 9, s. 258, Sch. 26 Pt. V(17), Note

[40AF15 Revenue nature of expenditure on master versions of filmsE+W+S+N.I.
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Modifications etc. (not altering text)

C1S. 40A applied (with modifications) (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 579, Sch. 3 Pt. XIII para. 116

(1)Expenditure incurred on the production or acquisition of a master version of a film is to be regarded for the purposes of the Tax Acts as expenditure of a revenue nature unless an election under section 40D below has effect with respect to it.

(2)If expenditure on the master version of a film is regarded as expenditure of a revenue nature under subsection (1) above, sums received from the disposal of the master version are to be regarded for the purposes of the Tax Acts as receipts of a revenue nature (if they would not be so regarded apart from this subsection).

(3)For the purposes of subsection (2) above sums received from the disposal of a master version of a film include—

(a)sums received from the disposal of any interest or right in or over the master version, including an interest or right created by the disposal, and

(b)insurance, compensation or similar money derived from the master version.

(4)In this section—

(a)expenditure of a revenue nature” means expenditure which, if it were incurred in the course of a trade the profits of which are chargeable to tax under Case I of Schedule D, would be taken into account for the purpose of computing the profits or losses of the trade, and

(b)receipts of a revenue nature” means receipts which, if they were receipts of such a trade, would be taken into account for that purpose.

(5)For the purposes of this section and sections 40B to 40D below, a “master version” of a film means a master negative, master tape or master audio disc of the film and includes any rights in the film (or its soundtrack) that are held or acquired with the master negative, master tape or master audio disc.]

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Amendments (Textual)

F15S. 40A inserted (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, ss. 578, 579(1), Sch. 2 para. 82

40BF16 Allocation of expenditure to periodsE+W+S+N.I.
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Amendments (Textual)

F16S. 40B inserted (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, ss. 578, 579(1), Sch. 2 para. 82

Modifications etc. (not altering text)

C2S. 40B applied (with modifications) (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 579, Sch. 3 Pt. XIII para. 116

(1)In computing the profits or gains accruing to any person from a trade or business which consists of or includes the exploitation of master versions of films, expenditure which is—

(a)incurred on the production or acquisition of a master version of a film, and

(b)expenditure of a revenue nature (whether as a result of section 40A above or otherwise),

must be allocated to relevant periods in accordance with this section.

(2)Subsection (1) above does not apply if an election under section 40D below has effect with respect to the expenditure.

(3)In this section “relevant period” means—

(a)a period for which the accounts of the trade or business concerned are made up, or

(b)if no accounts of the trade or business concerned are made up for a period—

(i)if the profits or gains accrue to a company within the charge to corporation tax, the accounting period of the company;

(ii)in any other case, the period the profits or gains of which are taken into account in assessing the income of the trade or business for a year of assessment.

(4)The amount of expenditure falling within subsection (1) above which falls to be allocated to any relevant period is so much as is just and reasonable, having regard to—

(a)the amount of that expenditure which remains unallocated at the beginning of that period,

(b)the proportion which the estimated value of the master version of the film which is realised in that period (whether by way of income or otherwise) bears to the aggregate of the value so realised and the estimated remaining value of the master version at the end of that period, and

(c)the need to bring the whole of the expenditure falling within subsection (1) above into account over the time during which the value of the master version is expected to be realised.

(5)In addition to any expenditure which is allocated to a relevant period in accordance with subsection (4) above, if a claim is made, there must also be allocated to that period so much of the unallocated expenditure as is specified in the claim and does not exceed the difference between—

(a)the amount allocated to that period in accordance with subsection (4) above, and

(b)the value of the master version of the film which is realised in that period (whether by way of income or otherwise).

(6)A claim under subsection (5) above must be made—

(a)for the purposes of income tax, on or before the first anniversary of the 31st January next following the year of assessment in which ends the relevant period mentioned in that subsection;

(b)for the purposes of corporation tax, not later than two years after the end of the relevant period to which the claim relates.

(7)In subsection (5) above “the unallocated expenditure”, in relation to a relevant period, is any expenditure falling within subsection (1) above—

(a)which does not fall to be allocated to that period in accordance with subsection (4) above, and

(b)which has not been allocated to any earlier relevant period in accordance with subsection (4) or (5) above.

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Amendments (Textual)

F16S. 40B inserted (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, ss. 578, 579(1), Sch. 2 para. 82

Modifications etc. (not altering text)

C2S. 40B applied (with modifications) (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 579, Sch. 3 Pt. XIII para. 116

40CF17 Cases where section 40B does not applyE+W+S+N.I.
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Amendments (Textual)

F17S. 40C inserted (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, ss. 578, 579(1), Sch. 2 para. 82

Modifications etc. (not altering text)

C3S. 40C applied (with modifications) (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 579, Sch. 3 Pt. XIII para. 116

(1)To the extent that a deduction has been made in respect of any expenditure for a relevant period under section 42 below—

(a)that expenditure must not be allocated under section 40B above, and

(b)no other expenditure incurred on the production or acquisition of the master version of the film is to be allocated under section 40B above to the relevant period.

(2)Section 40B above does not apply to the profits of a trade in which the master version of the film constitutes trading stock, as defined by section 100(2) of the Taxes Act 1988.

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Amendments (Textual)

F17S. 40C inserted (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, ss. 578, 579(1), Sch. 2 para. 82

Modifications etc. (not altering text)

C3S. 40C applied (with modifications) (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 579, Sch. 3 Pt. XIII para. 116

40DF18 Election for sections 40A and 40B not to applyE+W+S+N.I.
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Amendments (Textual)

F18S. 40D inserted (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, ss. 578, 579(1), Sch. 2 para. 82

Modifications etc. (not altering text)

C4S. 40D applied (with modifications) (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 579, Sch. 3 Pt. XIII paras. 116, 117

S. 40D restricted (24.7.2002 with application as mentioned in s. 99(3)-(6) of the amending Act) by 2002 c. 23, s. 99(1)(a)(2)(6)

(1)Sections 40A and 40B above do not apply to expenditure—

(a)in relation to which an election is made under this section, and

(b)which meets the conditions in subsection (2) below.

(2)The conditions are that—

(a)the expenditure is incurred—

(i)by a person who carries on a trade or business which consists of or includes the exploitation of master versions of films, and

(ii)on the production or acquisition of a master version of a film,

(b)the master version is certified by the Secretary of State under paragraph 3 of Schedule 1 to the Films Act 1985 as a qualifying film, tape or disc for the purposes of this section, and

(c)the value of the master version is expected to be realisable over a period of not less than two years.

(3)An election under this section—

(a)must relate to all expenditure incurred (or to be incurred) on the production or acquisition of the master version in question,

(b)must be made by giving notice to the Inland Revenue, in such form as the Board of Inland Revenue may determine, and

(c)is irrevocable.

(4)Notice under subsection (3)(b) above must be given—

(a)for the purposes of income tax, on or before the first anniversary of the 31st January next following the year of assessment in which ends the relevant period in which the master version of the film is completed;

(b)for the purposes of corporation tax, not later than two years after the end of the relevant period in which the master version of the film is completed.

(5)In subsection (4) above “relevant period” has the same meaning as in section 40B above.

(6)For the purposes of subsection (4) above, the master version of a film is completed—

(a)at the time when it is first in a form in which it can reasonably be regarded as ready for copies of it to be made and distributed for presentation to the public, or

(b)if the expenditure in question was incurred on the acquisition of the master version and it was acquired after the time mentioned in paragraph (a) above, at the time it was acquired.

(7)An election may not be made under this section in relation to expenditure on a master version of a film if a claim has been made in respect of any of that expenditure under section 41 or 42 below.

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Amendments (Textual)

F18S. 40D inserted (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, ss. 578, 579(1), Sch. 2 para. 82

Modifications etc. (not altering text)

C4S. 40D applied (with modifications) (22.3.2001 with effect as mentioned in s. 579(1) of the amending Act) by 2001 c. 2, s. 579, Sch. 3 Pt. XIII paras. 116, 117

S. 40D restricted (24.7.2002 with application as mentioned in s. 99(3)-(6) of the amending Act) by 2002 c. 23, s. 99(1)(a)(2)(6)

FilmsE+W+S+N.I.

41 Relief for preliminary expenditure.E+W+S+N.I.

(1)Subject to the following provisions of this section and any other provisions of the Tax Acts, in computing for tax purposes the profits or gains accruing to a person in a relevant period from a trade or business which consists of or includes the exploitation of films, that person shall (on making a claim) be entitled to deduct the amount of any expenditure of a revenue nature payable by him in that or an earlier relevant period—

(a)which is expenditure to which this section applies,

(b)in respect of which no deduction has previously been made (whether under this section or otherwise) in computing for tax purposes the profits or gains accruing from the trade or business, and

(c)in respect of which no election has been made under [F19section 40D above].

(2)This section applies to any expenditure that—

(a)can reasonably be said to have been incurred with a view to enabling a decision to be taken as to whether or not to make a film,

(b)is payable before the first day of principal photography (where the decision that is taken is to make the film), and

(c)is not payable under any contract or other arrangement whereby it may fall to be repaid if the film is not made.

(3)A deduction shall not be made in respect of a film that has been completed unless the master negative of the film or any master tape or master disc of the film is a qualifying film, tape or disc.

(4)A deduction shall not be made in respect of a film that has not been completed unless it is reasonably likely that if the film were completed the master negative of the film or any master tape or master disc of the film would be a qualifying film, tape or disc.

(5)The total amount deducted under this section in respect of a film shall not exceed 20 per cent. of the budgeted total expenditure on the film, as calculated at the first day of principal photography.

[F20(6)A claim under this section shall be made—

(a)for the purposes of income tax, on or before the first anniversary of the 31st January next following the year of assessment in which ends the relevant period in which the expenditure to which it relates becomes payable;

(b)for the purposes of corporation tax, not later than two years after the end of the relevant period in which the expenditure to which it relates becomes payable.]

(7)To the extent that a deduction has been made in respect of any expenditure under this section, no further deduction shall be made in respect of it in computing for tax purposes the profits or gains of the trade or business concerned.

(8)This section shall have effect in relation to expenditure payable on or after 10th March 1992.

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Amendments (Textual)

F19Words in s. 41(1)(c) substituted (22.3.2001 with effect as mentioned s. 579(1) of the amending Act) by 2001 c. 2, ss. 578, 579(1), Sch. 2 para. 83

F20S. 41(6) substituted (29.4.1996 with effect as mentioned in s. 135(2) of the substituting Act) by 1996 c. 8, s. 135, Sch. 21 para. 45

Modifications etc. (not altering text)

C5S. 41 restricted (24.7.2002 with application as mentioned in s. 99(3)-(6) of the amending Act) by 2002 c. 23, s. 99(1)(b)(2)(6)

42 Relief for production or acquisition expenditure.E+W+S+N.I.

(1)Subject to the following provisions of this section and any other provisions of the Tax Acts, in computing for tax purposes the profits or gains accruing to a person in a relevant period from a trade or business which consists of or includes the exploitation of films, that person shall (on making a claim) be entitled to deduct an amount in respect of any expenditure—

(a)which is expenditure to which subsection (2) or (3) below applies, and

(b)in respect of which no deduction has been made by virtue of [F21section 40B above] and no election has been made under [F21section 40D above].

(2)This subsection applies to any expenditure of a revenue nature incurred by the claimant on the production of a film—

(a)which was completed in the relevant period to which the claim relates or an earlier relevant period, and

(b)the master negative of which or any master tape or master disc of which is a qualifying film, tape or disc.

(3)This subsection applies to any expenditure of a revenue nature incurred by the claimant on the acquisition of the master negative of a film or any master tape or master disc of a film where—

(a)the film was completed in the relevant period to which the claim relates or an earlier relevant period, and

(b)the master negative, tape or disc is a qualifying film, tape or disc.

(4)Any amount deducted for a relevant period under subsection (1) above shall not exceed—

(a)one third of the total expenditure incurred by the claimant on the production of the film concerned or the acquisition of the master negative or any master tape or master disc of it,

(b)one third of the sum obtained by deducting from the amount of that total expenditure the amount of so much of that total expenditure as has already been deducted by virtue of section 41 above, or

(c)so much of that total expenditure as has not already been deducted by virtue of [F22section 40B or], section 41 above or this section,

whichever is less.

(5)In relation to a relevant period of less than twelve months, the references to one third in subsection (4) above shall be read as references to a proportionately smaller fraction.

[F23(6)A claim under this section shall be made—

(a)for the purposes of income tax, on or before the first anniversary of the 31st January next following the year of assessment in which ends the relevant period to which the claim relates,

(b)for the purposes of corporation tax, not later than two years after the end of the relevant period to which the claim relates,

and shall be irrevocable.]

(7)Where any expenditure is deducted by virtue of [F24section 40B above] in computing the profits or gains of a trade or business for a relevant period, no deduction shall be made under this section for that relevant period in respect of expenditure incurred on the production or acquisition of the film concerned.

(8)This section does not apply to the [F25profits] of a trade in which the film concerned constitutes trading stock, as defined in section 100(2) of the Taxes Act 1988.

[F26(9)This section has effect in relation to expenditure incurred -

(a)on the production of a film completed on or after 10th March 1992, or

(b)on the acquisition of the master negative, master tape or master disc of a film completed on or after that date.]

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Amendments (Textual)

F21Words in s. 42(1)(b) substituted (22.3.2001 with effect as mentioned s. 579(1) of the amending Act) by 2001 c. 2, ss. 578, 579(1), Sch. 2 para. 84(1)(a)

Words in s. 41(1)(b) substituted (22.3.2001 with effect as mentioned s. 579(1) of the amending Act) by 2001 c. 2, ss. 578, 579(1), Sch. 2 para. 84(1)(b)

F22Words in s. 42(4)(c) substituted (22.3.2001 with effect as mentioned s. 579(1) of the amending Act) by 2001 c. 2, ss. 578, 579(1), Sch. 2 para. 84(2)

F23S. 42(6) substituted (29.4.1996 with effect as mentioned in s. 135(2) of the substituting Act) by 1996 c. 8, s. 135, Sch. 21 para. 46

F24Words in s. 42(7) substituted (22.3.2001 with effect as mentioned s. 579(1) of the amending Act) by 2001 c. 2, ss. 578, 579(1), Sch. 2 para. 84(3)

F25Word in s. 42(8) substituted (31.7.1998) by 1998 c. 36, s. 46(3), Sch. 7 para. 8

F26S. 42(9) substituted (28.7.2000 with application as mentioned in s. 113(5)(6) of the amending Act) by 2000 c. 17, s. 113(3)

Modifications etc. (not altering text)

C6S. 42 modified (31.7.1997) by 1997 c. 58, s. 48(1)(2)(11) and restricted (31.7.1997) by 1997 c. 58, s. 48(4)(11)

S. 42 restricted (24.7.2002 with application as mentioned in s. 99(3)-(6) of the amending Act) by 2002 c. 23, s. 99(1)(c)(2)(6)

43 Interpretation of sections 41 and 42.E+W+S+N.I.

(1)In sections [F2740A to 42] above and this section—

  • expenditure of a revenue nature” has the meaning given in [F28section 40A(4) above],

  • master disc”, in relation to a film, means the original master film disc or the original master audio disc of the film,

  • master negative”, in relation to a film, means the original master negative of the film and its soundtrack (if any),

  • master tape”, in relation to a film, means the original master film tape or the original master audio tape of the film,

  • qualifying disc” means a master disc of a film certified by the Secretary of State under Schedule 1 to the M10Films Act 1985 as a qualifying disc for the purposes of [F29section 40D above],

  • qualifying film” means a master negative of a film certified by the Secretary of State under Schedule 1 to the M11Films Act 1985 as a qualifying film for the purposes of [F29section 40D above],

  • qualifying tape” means a master tape of a film certified by the Secretary of State under Schedule 1 to the M12Films Act 1985 as a qualifying tape for the purposes of section 68 of the 1990 Act,

  • relevant period” has the meaning given in [F30section 40B(3) above], and

  • F31. . ..

(2)In sections 41 and 42 above and this section—

(a)any reference to a film shall be construed in accordance with paragraph 1 of Schedule 1 to the Films Act 1985, and

(b)any reference to the acquisition of a master negative, master tape or master disc of a film includes a reference to the acquisition of [F32any rights in the film (or its soundtrack) that are held or acquired with the master negative, master tape or master audio disc].

(3)For the purposes of sections 41 and 42 above a film is completed—

(a)at the time when it is first in a form in which it can reasonably be regarded as ready for copies of it to be made and distributed for presentation to the general public, F33. . .

F33(b). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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Amendments (Textual)

F27Words in s. 43(1) substituted (22.3.2001 with effect as mentioned s. 579(1) of the amending Act) by 2001 c. 2, ss. 578, 579(1), Sch. 2 para. 85(a)

F28Words in s. 43(1) substituted (22.3.2001 with effect as mentioned s. 579(1) of the amending Act) by 2001 c. 2, ss. 578, 579(1), Sch. 2 para. 85(b)

F29Words in s. 43(1) substituted (22.3.2001 with effect as mentioned s. 579(1) of the amending Act) by 2001 c. 2, ss. 578, 579(1), Sch. 2 para. 85(c)

F30Words in s. 43(1) substituted (22.3.2001 with effect as mentioned s. 579(1) of the amending Act) by 2001 c. 2, ss. 578, 579(1), Sch. 2 para. 85(d)

F31S. 43(1): definition of

the 1990 Act

repealed (22.3.2001 with effect as mentioned s. 579(1) of the amending Act) by 2001 c. 2, ss. 578, 579(1), 580, Sch. 2 para. 85(e); Sch. 4

F32Words in s. 43(2)(b) substituted (28.7.2000 with application as mentioned in s. 113(5)(6) of the amending Act) by 2000 c. 17, s. 113(4)(a)

F33S. 43(3)(b) and the preceding word “or" repealed (28.7.2000 with application as mentioned in s. 113(5)(6) of the amending Act) by 2000 c. 17, ss. 113(4)(b), 156, Sch. 40 Pt. II(18)

Modifications etc. (not altering text)

C7S. 43(3) applied with modifications (31.7.1997) by 1997 c. 58, s. 48(8)(11)

Marginal Citations

Transfers of tradeE+W+S+N.I.

44 Transfer of a UK trade: amendment of 1992 Act.E+W+S+N.I.

The M13Taxation of Chargeable Gains Act 1992 shall have effect, and be deemed always to have had effect, with the insertion of the following after section 140—

Transfers concerning companies of different member StatesE+W+S+N.I.
140A Transfer of a UK trade.

(1)This section applies where—

(a)a qualifying company resident in one member State (company A)

transfers the whole or part of a trade carried on by it in the United Kingdom to a qualifying company resident in another member State (company B),

(b)the transfer is wholly in exchange for securities issued by company B to company A,

(c)a claim is made under this section by company A and company B,

(d)section 140B does not prevent this section applying, and

(e)the appropriate condition is met in relation to company B immediately after the time of the transfer.

(2)Where immediately after the time of the transfer company B is not resident in the United Kingdom, the appropriate condition is that were it to dispose of the assets included in the transfer any chargeable gains accruing to it on the disposal would form part of its chargeable profits for corporation tax purposes by virtue of section 10(3).

(3)Where immediately after the time of the transfer company B is resident in the United Kingdom, the appropriate condition is that none of the assets included in the transfer is one in respect of which, by virtue of the asset being of a description specified in double taxation relief arrangements, the company falls to be regarded for the purposes of the arrangements as not liable in the United Kingdom to tax on gains accruing to it on a disposal.

(4)Where this section applies—

(a)the two companies shall be treated, so far as relates to corporation tax on chargeable gains, as if any assets included in the transfer were acquired by company B from company A for a consideration of such amount as would secure that on the disposal by way of transfer neither a gain nor a loss would accrue to company A;

(b)section 25(3) shall not apply to any such assets by reason of the transfer (if it would apply apart from this paragraph).

(5)For the purposes of subsection (1)(a) above, a company shall be regarded as resident in a member State if it is within a charge to tax under the law of the State because it is regarded as resident for the purposes of the charge.

(6)For the purposes of subsection (5) above, a company shall be treated as not within a charge to tax under the law of a member State if it falls to be regarded for the purposes of any double taxation relief arrangements to which the State is a party as resident in a territory which is not within any of the member States.

(7)In this section—

  • qualifying company” means a body incorporated under the law of a member State;

  • securities” includes shares.

140B Section 140A: anti-avoidance.

(1)Section 140A shall not apply unless the transfer of the trade or part is effected for bona fide commercial reasons and does not form part of a scheme or arrangements of which the main purpose, or one of the main purposes, is avoidance of liability to income tax, corporation tax or capital gains tax.

(2)Subsection (1) above shall not apply where, before the transfer, the Board have on the application of company A and company B notified those companies that the Board are satisfied that the transfer will be effected for bona fide commercial reasons and will not form part of any such scheme or arrangements as are mentioned in that subsection.

(3)Subsections (2) to (5) of section 138 shall have effect in relation to subsection (2) above as they have effect in relation to subsection (1) of that section.

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Marginal Citations

45 Transfer of a non-UK trade: amendment of 1992 Act.E+W+S+N.I.

The M14Taxation of Chargeable Gains Act 1992 shall have effect, and be deemed always to have had effect, with the insertion of the following sections after section 140B—

140C Transfer of a non-UK trade.

(1)This section applies where—

(a)a qualifying company resident in the United Kingdom (company A)

transfers to a qualifying company resident in another member State (company B) the whole or part of a trade which, immediately before the time of the transfer, company A carried on in a member State other than the United Kingdom through a branch or agency,

(b)the transfer includes the whole of the assets of company A used for the purposes of the trade or part (or the whole of those assets other than cash),

(c)the transfer is wholly or partly in exchange for securities issued by company B to company A,

(d)the aggregate of the chargeable gains accruing to company A on the transfer exceeds the aggregate of the allowable losses so accruing,

(e)a claim is made under this section by company A, and

(f)section 140D does not prevent this section applying.

(2)In a case where this section applies, this Act shall have effect in accordance with subsection (3) below.

(3)The allowable losses accruing to company A on the transfer shall be set off against the chargeable gains so accruing and the transfer shall be treated as giving rise to a single chargeable gain equal to the aggregate of those gains after deducting the aggregate of those losses.

(4)No claim may be made under this section as regards a transfer in relation to which a claim is made under section 140.

(5)In a case where this section applies, section 815A of the Taxes Act shall also apply.

(6)For the purposes of subsection (1)(a) above—

(a)a company shall not be regarded as resident in the United Kingdom if it falls to be regarded for the purposes of any double taxation relief arrangements to which the United Kingdom is a party as resident in a territory which is not within any of the member States;

(b)a company shall be regarded as resident in another member State if it is within a charge to tax under the law of the State because it is regarded as resident for the purposes of the charge.

(7)For the purposes of subsection (6)(b) above, a company shall be treated as not within a charge to tax under the law of a member State if it falls to be regarded for the purposes of any double taxation relief arrangements to which the State is a party as resident in a territory which is not within any of the member States.

(8)Section 442(3) of the Taxes Act (overseas business of UK insurance companies) shall be ignored in arriving at the chargeable gains accruing to company A on the transfer, and the allowable losses so accruing, for the purposes of subsections (1)(d) and (3) above.

(9)In this section—

  • qualifying company” means a body incorporated under the law of a member State;

  • securities” includes shares.

140D Section 140C: anti-avoidance.

(1)Section 140C shall not apply unless the transfer of the trade or part is effected for bona fide commercial reasons and does not form part of a scheme or arrangements of which the main purpose, or one of the main purposes, is avoidance of liability to income tax, corporation tax or capital gains tax.

(2)Subsection (1) above shall not apply where, before the transfer, the Board have on the application of company A notified that company that the Board are satisfied that the transfer will be effected for bona fide commercial reasons and will not form part of any such scheme or arrangements as are mentioned in that subsection.

(3)Subsections (2) to (5) of section 138 shall have effect in relation to subsection (2) above as they have effect in relation to subsection (1) of that section.

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Marginal Citations

46 Transfer of a trade: supplementary (1).E+W+S+N.I.

(1)The M15Taxation of Chargeable Gains Act 1992 shall have effect, and be deemed always to have had effect, with the following amendments.

(2)In section 35(3)(d)(i) (re-basing) after “139," there shall be inserted “ 140A, ”.

(3)In section 116(11) (qualifying corporate bonds) after “139," there shall be inserted “ 140A, ”.

(4)In section 140 (transfer of assets to non-resident company) the following subsection shall be inserted after subsection (6)—

(6A)No claim may be made under this section as regards a transfer in relation to which a claim is made under section 140C.

(5)In section 174 (disposal or acquisition outside a group)—

(a)in subsection (2) after the word “section" (in the first place where it occurs) there shall be inserted “ 140A, ”;

(b)in subsection (3) after “section" there shall be inserted “ 140A, ”.

(6)In section 177(2) (dividend stripping) after “which section" there shall be inserted “ 140A, ”.

(7)In section 184(2) (indexation)—

(a)after the word “section" (in the first place where it occurs) there shall be inserted “ 140A, ”;

(b)for “either" there shall be substituted “ one ”.

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Marginal Citations

47 Transfer of a UK trade: amendment of 1970 Act.E+W+S+N.I.

Subject to the repeals made by the M16Taxation of Chargeable Gains Act 1992, in relation to transfers taking effect on or after 1st January 1992 the M17Income and Corporation Taxes Act 1970 shall have effect, and be deemed to have had effect, with the insertion of the following after section 269—

Transfers concerning companies of different member StatesE+W+S+N.I.
269A Transfer of a UK trade.

(1)This section applies where—

(a)a qualifying company resident in one member State (company A)

transfers the whole or part of a trade carried on by it in the United Kingdom to a qualifying company resident in another member State (company B),

(b)the transfer is wholly in exchange for securities issued by company B to company A,

(c)a claim is made under this section by company A and company B,

(d)section 269B below does not prevent this section applying, and

(e)the appropriate condition is met in relation to company B immediately after the time of the transfer.

(2)Where immediately after the time of the transfer company B is not resident in the United Kingdom, the appropriate condition is that were it to dispose of the assets included in the transfer any chargeable gains accruing to it on the disposal would form part of its chargeable profits for corporation tax purposes by virtue of section 11(2)(b) of the Taxes Act 1988.

(3)Where immediately after the time of the transfer company B is resident in the United Kingdom, the appropriate condition is that none of the assets included in the transfer is one in respect of which, by virtue of the asset being of a description specified in double taxation relief arrangements, the company falls to be regarded for the purposes of the arrangements as not liable in the United Kingdom to tax on gains accruing to it on a disposal.

(4)Where this section applies—

(a)the two companies shall be treated, so far as relates to corporation tax on chargeable gains, as if any assets included in the transfer were acquired by company B from company A for a consideration of such amount as would secure that on the disposal by way of transfer neither a gain nor a loss would accrue to company A;

(b)section 127(3) of the Finance Act 1989 (deemed disposal at market value) shall not apply to any such assets by reason of the transfer (if it would apply apart from this paragraph).

(5)For the purposes of subsection (1)(a) above, a company shall be regarded as resident in a member State if it is within a charge to tax under the law of the State because it is regarded as resident for the purposes of the charge.

(6)For the purposes of subsection (5) above, a company shall be treated as not within a charge to tax under the law of a member State if it falls to be regarded for the purposes of any double taxation relief arrangements to which the State is a party as resident in a territory which is not within any of the member States.

(7)In this section—

  • qualifying company” means a body incorporated under the law of a member State;

  • securities” includes shares.

269B Section 269A: anti-avoidance.

(1)Section 269A above shall not apply unless the transfer of the trade or part is effected for bona fide commercial reasons and does not form part of a scheme or arrangements of which the main purpose, or one of the main purposes, is avoidance of liability to income tax, corporation tax or capital gains tax.

(2)Subsection (1) above shall not apply where, before the transfer, the Board have on the application of company A and company B notified those companies that the Board are satisfied that the transfer will be effected for bona fide commercial reasons and will not form part of any such scheme or arrangements as are mentioned in that subsection.

(3)Subsections (2) to (5) of section 88 of the Capital Gains Tax Act 1979 shall have effect in relation to subsection (2) above as they have effect in relation to subsection (1) of that section.

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Marginal Citations

48 Transfer of a non-UK trade: amendment of 1970 Act.E+W+S+N.I.

Subject to the repeals made by the M18Taxation M19of Chargeable Gains Act 1992, in relation to transfers taking effect on or after 1st January 1992 the Income and Corporation Taxes Act 1970 shall have effect, and be deemed to have had effect, with the insertion of the following sections after section 269B—

269C Transfer of a non-UK trade.

(1)This section applies where—

(a)a qualifying company resident in the United Kingdom (company A)

transfers to a qualifying company resident in another member State (company B) the whole or part of a trade which, immediately before the time of the transfer, company A carried on in a member State other than the United Kingdom through a branch or agency,

(b)the transfer includes the whole of the assets of company A used for the purposes of the trade or part (or the whole of those assets other than cash),

(c)the transfer is wholly or partly in exchange for securities issued by company B to company A,

(d)the aggregate of the chargeable gains accruing to company A on the transfer exceeds the aggregate of the allowable losses so accruing,

(e)a claim is made under this section by company A, and

(f)section 269D below does not prevent this section applying.

(2)The Capital Gains Tax Act 1979 shall have effect in accordance with subsection (3) below.

(3)The allowable losses accruing to company A on the transfer shall be set off against the chargeable gains so accruing and the transfer shall be treated as giving rise to a single chargeable gain equal to the aggregate of those gains after deducting the aggregate of those losses.

(4)No claim may be made under this section as regards a transfer in relation to which a claim is made under section 268A above.

(5)In a case where this section applies, section 815A of the Taxes Act 1988 shall also apply.

(6)For the purposes of subsection (1)(a) above—

(a)a company shall not be regarded as resident in the United Kingdom if it falls to be regarded for the purposes of any double taxation relief arrangements to which the United Kingdom is a party as resident in a territory which is not within any of the member States;

(b)a company shall be regarded as resident in another member State if it is within a charge to tax under the law of the State because it is regarded as resident for the purposes of the charge.

(7)For the purposes of subsection (6)(b) above, a company shall be treated as not within a charge to tax under the law of a member State if it falls to be regarded for the purposes of any double taxation relief arrangements to which the State is a party as resident in a territory which is not within any of the member States.

(8)Section 442(3) of the Taxes Act 1988 (overseas business of UK insurance companies) shall be ignored in arriving at the chargeable gains accruing to company A on the transfer, and the allowable losses so accruing, for the purposes of subsections (1)(d) and (3) above.

(9)In this section—

  • qualifying company” means a body incorporated under the law of a member State;

  • securities” includes shares.

269D Section 269C: anti-avoidance.

(1)Section 269C above shall not apply unless the transfer of the trade or part is effected for bona fide commercial reasons and does not form part of a scheme or arrangements of which the main purpose, or one of the main purposes, is avoidance of liability to income tax, corporation tax or capital gains tax.

(2)Subsection (1) above shall not apply where, before the transfer, the Board have on the application of company A notified that company that the Board are satisfied that the transfer will be effected for bona fide commercial reasons and will not form part of any such scheme or arrangements as are mentioned in that subsection.

(3)Subsections (2) to (5) of section 88 of the Capital Gains Tax Act 1979 shall have effect in relation to subsection (2) above as they have effect in relation to subsection (1) of that section.

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Marginal Citations

49 Transfer of a trade: supplementary (2).E+W+S+N.I.

(1)Subject to the repeals made by the M20Taxation of Chargeable Gains Act 1992, the enactments mentioned in this section shall be amended as there mentioned.

(2)In section 268A of the M21Income and Corporation Taxes Act 1970 (transfer of assets to non-resident company) the following subsection shall be inserted after subsection (6)—

(6A)No claim may be made under this section as regards a transfer in relation to which a claim is made under section 269C below.

(3)In section 275 of that Act (disposal or acquisition outside a group)—

(a)in subsection (1A) after the word “section" (in the first place where it occurs) there shall be inserted “ 269A, ”;

(b)in subsection (1B) after “section" there shall be inserted “ 269A, ”.

(4)In section 281(2) of that Act (dividend stripping) after “which section" there shall be inserted “ 269A, ”.

(5)In paragraph 10(2) of Schedule 13 to the M22Finance Act 1984 (qualifying corporate bonds) after paragraph (bb) there shall be inserted—

(bc)section 269A of the Taxes Act (transfer of United Kingdom trade between companies of different member States); or.

(6)In section 68(7A)(b) of the M23Finance Act 1985 (indexation) after “267," there shall be inserted “ 269A, ”.

(7)In paragraph 1(3)(b) of Schedule 8 to the M24Finance Act 1988 (re-basing) after “267," there shall be inserted “ 269A, ”.

(8)In paragraph 5 of Schedule 11 to that Act (indexation)—

(a)after “section" there shall be inserted “ 269A, ”;

(b)the word “intra-group" shall be omitted;

(c)for “either" there shall be substituted “ one ”.

(9)Subsections (3) and (4) above apply where the transfer referred to in section 269A takes effect on or after 1st January 1992.

(10)Subsections (5) to (7) above apply to any disposal by way of transfer where the transfer takes effect on or after 1st January 1992.

(11)Subsection (8) above applies where any disposal to which section 269A applies is by way of a transfer taking effect on or after 1st January 1992.

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Marginal Citations

Double taxation reliefE+W+S+N.I.

50 Transfer of a non-UK trade.E+W+S+N.I.

The following section shall be inserted after section 815 of the Taxes Act 1988—

815A Transfer of a non-UK trade.

(1)This section applies where section 269C of the 1970 Act or section 140C of the Taxation of Chargeable Gains Act 1992 applies; and references in this section to company A, the transfer and the trade shall be construed accordingly.

(2)Where company A produces to the inspector an appropriate certificate given by the tax authorities of the relevant member State, this Part, including any arrangements having effect by virtue of section 788, shall apply as if the amount stated in the certificate in accordance with subsection (4)(b) below were tax payable under the law of the relevant member State.

(3)In any case where—

(a)company A is unable to obtain an appropriate certificate from the tax authorities of the relevant member State,

(b)the Board is satisfied that this is the case, and

(c)company A makes a claim to the Board under this subsection and provides the Board with such information and documents in connection with the claim as the Board may require,

the Board shall determine the amount which in their opinion is the amount of tax computed on the required basis which would have been payable under the law of the relevant member State in respect of the gains accruing to company A on the transfer but for the Mergers Directive; and this Part, including any arrangements having effect by virtue of section 788, shall apply as if the amount so determined were tax payable under the law of the relevant member State.

(4)For the purposes of this section, an appropriate certificate is one containing—

(a)a statement to the effect that gains accruing to company A on the transfer would have been chargeable to tax under the law of the relevant member State but for the Mergers Directive;

(b)a statement of the amount of tax which would have been payable under that law in respect of the gains so accruing but for that Directive; and

(c)a statement to the effect that that amount has been computed on the required basis.

(5)For the purposes of this section, the required basis is that—

(a)so far as permitted under the law of the relevant member State, any losses arising on the transfer are set against any gains so arising, and

(b)any relief available to company A under that law has been duly claimed.

(6)In this section—

  • the Mergers Directive” means the Directive of the Council of the European Communities dated 23rd July 1990 on the common system of taxation applicable to mergers, divisions, transfers of assets and exchanges of shares concerning companies of different member States (no. 90/434/EEC);

  • relevant member State” means the member State in which, immediately before the time of the transfer, company A carried on the trade through a branch or agency.

51 The Arbitration Convention.E+W+S+N.I.

(1)The following section shall be inserted after section 815A of the Taxes Act 1988—

815B The Arbitration Convention.

(1)Subsection (2) below applies if the Arbitration Convention requires the Board to give effect to—

(a)an agreement or decision, made under the Convention by the Board (or their authorised representative) and any other competent authority, on the elimination of double taxation, or

(b)an opinion, delivered by an advisory commission set up under the Convention, on the elimination of double taxation.

(2)The Board shall give effect to the agreement, decision or opinion notwithstanding anything in any enactment; and any such adjustment as is appropriate in consequence may be made (whether by way of discharge or repayment of tax, the making of an assessment or otherwise).

(3)Any enactment which limits the time within which claims for relief under any provision of the Tax Acts may be made shall not apply to a claim made in pursuance of an agreement, decision or opinion falling within subsection (1)(a) or (b) above.

(4)In this section “the Arbitration Convention” means the Convention on the elimination of double taxation in connection with the adjustment of profits of associated enterprises, concluded on 23rd July 1990 by the parties to the treaty establishing the European Economic Community (90/436/EEC).

(2)In section 816 of the Taxes Act 1988 (disclosure of information) the following subsection shall be inserted after subsection (2)—

(2A)The obligation as to secrecy imposed by any enactment shall not prevent the Board, or any authorised officer of the Board, from disclosing information required to be disclosed under the Arbitration Convention in pursuance of a request made by an advisory commission set up under that Convention; and “the Arbitration Convention” here has the meaning given by section 815B(4).

(3)The following section shall be inserted after section 182 of the M25Finance Act 1989 (disclosure of information)—

182A Double taxation: disclosure of information.

(1)A person who discloses any information acquired by him in the exercise of his functions as a member of an advisory commission set up under the Arbitration Convention is guilty of an offence.

(2)Subsection (1) above does not apply to any disclosure of information—

(a)with the consent of the person who supplied the information to the commission, or

(b)which has been lawfully made available to the public before the disclosure is made.

(3)It is a defence for a person charged with an offence under this section to prove that at the time of the alleged offence he believed that the information in question had been lawfully made available to the public before the disclosure was made and had no reasonable cause to believe otherwise.

(4)A person guilty of an offence under this section is liable—

(a)on conviction on indictment, to imprisonment for a term not exceeding two years or a fine or both;

(b)on summary conviction, to imprisonment for a term not exceeding six months or a fine not exceeding the statutory maximum or both.

(5)No prosecution for an offence under this section shall be instituted in England and Wales or in Northern Ireland except—

(a)by the Board, or

(b)by or with the consent of the Director of Public Prosecutions or, in Northern Ireland, the Director of Public Prosecutions for Northern Ireland.

(6)In this section—

  • the Arbitration Convention” has the meaning given by section 815B(4) of the Taxes Act 1988;

  • the Board” means the Commissioners of Inland Revenue.

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Marginal Citations

52 Interest.E+W+S+N.I.

(1)In the Taxes Act 1988 the following section shall be inserted after section 808—

808A Interest: special relationship.

(1)Subsection (2) below applies where any arrangements having effect by virtue of section 788—

(a)make provision, whether for relief or otherwise, in relation to interest (as defined in the arrangements), and

(b)make provision (the special relationship provision) that where owing to a special relationship the amount of the interest paid exceeds the amount which would have been paid in the absence of the relationship, the provision mentioned in paragraph (a) above shall apply only to the last-mentioned amount.

(2)The special relationship provision shall be construed as requiring account to be taken of all factors, including—

(a)the question whether the loan would have been made at all in the absence of the relationship,

(b)the amount which the loan would have been in the absence of the relationship, and

(c)the rate of interest and other terms which would have been agreed in the absence of the relationship.

(3)The special relationship provision shall be construed as requiring the taxpayer to show that there is no special relationship or (as the case may be) to show the amount of interest which would have been paid in the absence of the special relationship.

(4)In a case where—

(a)a company makes a loan to another company with which it has a special relationship, and

(b)it is not part of the first company’s business to make loans generally,

the fact that it is not part of the first company’s business to make loans generally shall be disregarded in construing subsection (2) above.

(5)Subsection (2) above does not apply where the special relationship provision expressly requires regard to be had to the debt on which the interest is paid in determining the excess interest (and accordingly expressly limits the factors to be taken into account).

(2)This section shall apply in relation to interest (as defined in the arrangements) paid after 14th May 1992.

MiscellaneousE+W+S+N.I.

53 Car fuel: cash equivalents.E+W+S+N.I.

(1)Section 158 of the Taxes Act 1988 (car fuel) shall be amended as follows.

(2)For subsection (2) (cash equivalents) there shall be substituted—

(2)Subject to the provisions of this section, the cash equivalent of that benefit shall be ascertained from—

(a)Table A below where the car has an internal combustion engine with one or more reciprocating pistons and is not a diesel car;

(b)Table AB below where the car has an internal combustion engine with one or more reciprocating pistons and is a diesel car;

(c)Table B below where the car does not have an internal combustion engine with one or more reciprocating pistons.

TABLE A
Cylinder capacity of car in cubic centimetresCash equivalent
1,400 or less£500
More than 1,400 but not more than 2,000£630
More than 2,000£940
TABLE AB
Cylinder capacity of car in cubic centimetresCash equivalent
2,000 or less£460
More than 2,000£590
TABLE B
Original market value of carCash equivalent
Less than £6,000£500
£6,000 or more but less than £8,500£630
£8,500 or more£940

(2A)For the purposes of subsection (2) above a diesel car is a car which uses heavy oil as fuel; and “heavy oil” here means heavy oil as defined by section 1(4) of the Hydrocarbon Oil Duties Act 1979.

(2B)For the purposes of Tables A and AB in subsection (2) above a car’s cylinder capacity is the capacity of its engine calculated as for the purposes of the Vehicles (Excise) Act 1971.

(3)In subsection (4) (Treasury orders) for “either" there shall be substituted “ any ”.

(4)This section shall have effect for the year 1992-93 and subsequent years of assessment.

54 Foreign earnings.E+W+S+N.I.

(1)In Schedule 12 to the Taxes Act 1988 (foreign earnings: provisions supplemental to section 193(1)) after paragraph 1 there shall be inserted—

Amount of emoluments

1AFor the purposes of section 193(1) and this Schedule the amount of the emoluments for a year of assessment from any employment shall be taken to be the amount remaining after any capital allowance and after any deductions under section 192(3), 193(4), 194(1), 195(7), 198, 199, 201, 332, 592 or 594.

(2)This section shall have effect for the year 1992-93 and subsequent years of assessment.

55 Oil extraction activities: extended transportation.E+W+S+N.I.

(1)In section 502 of the Taxes Act 1988 (defined expressions for Chapter V of Part XII of that Act - petroleum extraction activities), in subsection (1), in the definition of “oil extraction activities", in paragraph (c)—

(a)the words “as far as dry land in the United Kingdom" shall be omitted; and

(b)after the words “so held" there shall be inserted

(i)to the place where the oil is first landed in the United Kingdom, or

(ii)to the place in the United Kingdom or, in the case of oil first landed in another country, the place in that or any other country (other than the United Kingdom) at which the seller in a sale at arm’s length could reasonably be expected to deliver it or, if there is more than one such place, the one nearest to the place of extraction.

(2)Subsection (1) above has effect with respect to chargeable periods ending after 27th November 1991.

(3)In so far as the amendments made by paragraph 3 of Schedule 15 to this Act amend the definitions of “initial storage" and “initial treatment" as they have effect, by virtue of section 502(2) of the Taxes Act 1988, for the purposes of Chapter V of Part XII of that Act, those amendments have effect with respect to chargeable periods ending after 27th November 1991.

56 Friendly societies.E+W+S+N.I.

Schedule 9 to this Act (which makes provision in relation to friendly societies) shall have effect.

F3457. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S+N.I.
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Amendments (Textual)

F34S. 57 repealed (31.7.1998 with effect in accordance with s. 38(2)(3) of the repealing Act) by 1998 c. 36, s. 165, Sch. 27 Pt. III(4), Note

F3558. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W+S+N.I.
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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)

F35S. 58 repealed (31.7.1998 with effect in accordance with s. 38(2)(3) of the repealing Act) by 1998 c. 36, s. 165, Sch. 27 Pt. III(4), Note

59 Furnished accommodation.E+W+S+N.I.

Schedule 10 to this Act (which makes provision about furnished accommodation) shall have effect.

60 Deduction on account of certain payments.E+W+S+N.I.

(1)In section 347A(5) of the M26Taxes Act 1988 and in section 38(9) of the Finance Act 1988 (no deduction on account of certain payments) after “section 65(1)(b)" there shall be inserted “ , 68(1)(b) or 192(3) ”.

(2)This section shall have effect for the year 1992-93 and subsequent years of assessment.

Annotations: Help about Annotation
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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Marginal Citations

61 Qualifying maintenance payments: extension to member States.E+W+S+N.I.

(1)In section 347B(1)(a) of the Taxes Act 1988 (payments under certain court orders or written agreements)—

(a)for “in the United Kingdom" there shall be substituted “ in a member State ”;

(b)for “a part of the United Kingdom" there shall be substituted “ a member State or of a part of a member State ”.

(2)This section shall have effect for the year 1992-93 and subsequent years of assessment.

62 Qualifying maintenance payments: maintenance assessments etc.E+W+S+N.I.

(1)In section 347B of the Taxes Act 1988 (qualifying maintenance payments), the following subsections shall be added at the end—

(8)In subsections (1)(a) and (5)(a) above, the reference to an order made by a court in the United Kingdom includes a reference to a maintenance assessment.

(9)Where—

(a)any periodical payment is made under a maintenance assessment by one of the parties to a marriage (including a marriage which has been dissolved or annulled),

(b)the other party to the marriage is, for the purposes of the Child Support Act 1991 or (as the case may be) the Child Support (Northern Ireland) Order 1991, a parent of the child or children with respect to whom the assessment has effect,

(c)the assessment was not made under section 7 of the Child Support Act 1991 (right of child in Scotland to apply for maintenance assessment), and

(d)any of the conditions mentioned in subsection (10) below is satisfied,

this section shall have effect as if the payment had been made to the other party for the maintenance by that other party of that child or (as the case may be) those children.

(10)The conditions are that—

(a)the payment is made to the Secretary of State in accordance with regulations made under section 29 of the Child Support Act 1991, by virtue of subsection (3)(a)(ii) of that section;

(b)the payment is made to the Department of Health and Social Services for Northern Ireland in accordance with regulations made under Article 29 of the Child Support (Northern Ireland) Order 1991, by virtue of paragraph (3)(a)(ii) of that Article;

(c)the payment is retained by the Secretary of State in accordance with regulations made under section 41 of that Act;

(d)the payment is retained by the Department of Health and Social Services for Northern Ireland in accordance with regulations made under Article 38 of that Order.

(11)In this section “maintenance assessment” means a maintenance assessment made under the Child Support Act 1991 or the Child Support (Northern Ireland) Order 1991.

(12)Where any periodical payment is made to the Secretary of State or to the Department of Health and Social Services for Northern Ireland—

(a)by one of the parties to a marriage (including a marriage which has been dissolved or annulled), and

(b)under an order made under section 106 of the Social Security Administration Act 1992 or section 101 of the Social Security Administration (Northern Ireland) Act 1992 (recovery of expenditure on benefit from person liable for maintenance) in respect of income support claimed by the other party to the marriage,

this section shall have effect as if the payment had been made to the other party to the marriage to or for the benefit, and for the maintenance, of that other party or (as the case may be) to that other party for the maintenance of the child or children concerned.

(2)In section 36 of the M27Finance Act 1988 (annual payments), the following subsection shall be inserted after subsection (5)—

(5A)The reference in subsection (4)(d) above to an order made by a court, and the reference in subsection (5)(b) above to an order, in each case includes a reference to a maintenance assessment made under the Child Support Act 1991 or the Child Support (Northern Ireland) Order 1991.

(3)In section 38 of the M28Finance Act 1988 (maintenance payments under existing obligations), the following subsection shall be inserted after subsection (8)—

(8A)The reference in subsection (1)(a) above to an order made by a court includes a reference to a maintenance assessment made under the Child Support Act 1991 or under the Child Support (Northern Ireland) Order 1991.

(4)This section shall come into force on such date as the Secretary of State may by order provide.

(5)The power conferred by subsection (4) above shall be exercisable by statutory instrument.

(6)The provision made by this section shall have effect, so far as it concerns orders under section 106 of the M29Social Security Administration Act 1992 or section 101 of the M30Social Security Administration (Northern Ireland) Act 1992, only in relation to payments which fall due after the coming into force of this section.

Annotations: Help about Annotation
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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Subordinate Legislation Made

P1S. 62(4) power fully exercised (26.10.1992): 6.4.1993 appointed day by S.I. 1992/2642, art. 2.

Commencement Information

I1S. 62 wholly in force at 6.4.1993 see s. 62(4) and S.I. 1992/2642, art. 2.

Marginal Citations

63 Paying and collecting agents etc.E+W+S+N.I.

Schedule 11 to this Act (which makes provision in relation to the payment of income tax on foreign dividends etc.) shall have effect.

64 Reduced and composite rate.E+W+S+N.I.

(1)For the purposes of this section each of the following is a relevant order—

(a)the M31Income Tax (Reduced and Composite Rate) Order 1985 (which sets out 25.25 per cent. as the reduced rate for building societies and the composite rate for deposit-takers for the year 1986-87);

(b)the M32Income Tax (Reduced and Composite Rate) Order 1986 (which sets out 24.75 per cent. as the rate for the year 1987-88);

(c)the M33Income Tax (Reduced and Composite Rate) Order 1987 (which sets out 23.25 per cent. as the rate for the year 1988-89);

(d)the M34Income Tax (Reduced and Composite Rate) Order 1988 (which sets out 21.75 per cent. as the rate for the year 1989-90).

(2)If apart from this section a relevant order would not be so taken, it shall be taken to be and always to have been effective to determine the rate set out in the order as the reduced rate and the composite rate for the year of assessment for which the order was made.

Annotations: Help about Annotation
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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Marginal Citations

65 Life assurance business: I minus E basis.E+W+S+N.I.

(1)For the purposes of this section a claim is a relevant claim if it is made under or by virtue of any of the following provisions—

(a)section 393(1) of the Taxes Act 1988 (claim for carry forward of trading losses);

(b)section 393A(1) of the Taxes Act 1988 (claim for carry sideways and backwards of trading losses);

(c)section 402(2) of the Taxes Act 1988 (surrender of relief between members of groups and consortia: group claim);

(d)section 402(3) of the Taxes Act 1988 (surrender of relief between members of groups and consortia: consortium claim);

(e)any provision reproduced in any of the provisions mentioned in paragraphs (a) to (d) above (whether directly or indirectly and whether with or without modification).

(2)For the purposes of this section the following are relevant provisions—

[F36(aa)section 434(1) and (1A) of the Taxes Act 1988 (section 208 not to apply in relation to life assurance profits computed in accordance with Case I of Schedule D etc);

(ab)section 434(1C) and (1D) of the Taxes Act 1988 (which makes corresponding provision in relation to overseas life insurance companies and is notionally inserted by paragraph 9(1) of Schedule 19AC to that Act);]

[F37(a)section 434A(1) of the Taxes Act 1988 (profits derived from investments held for purposes of life assurance business treated as profits of that business in ascertaining loss);]

(b). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(c). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

[F38(d)section 83(2) of the M35Finance Act 1989 ( amounts to be taken into account as receipts or expenses);]

(e)section 37(1) of the M36Taxation of Chargeable Gains Act 1992 (exclusion from consideration for disposal of asset of any money or moneys worth taken into account in computing profits or losses etc.);

(f)any provision reproduced in any of the provisions mentioned in paragraphs (a) F39. . . and (e) above (whether directly or indirectly and whether with or without modification).

(3)For the purposes of this section—

(a)the I minus E basis is the basis commonly so called (under which a company carrying on life assurance business is charged to tax in respect of that business otherwise than under Case I of Schedule D);

(b)life assurance business includes annuity business [F40and capital redemption business].

(4)Neither the making of a relevant claim in respect of a trading loss incurred by a company in an accounting period nor the application of any commercial or accounting principle or practice in computing that loss—

(a)shall prevent the I minus E basis being applied for that or any other accounting period in respect of the company’s life assurance business;

(b)shall affect the calculation of the income or gains of that business for that or any other accounting period in applying that basis.

(5)The application of a relevant provision as regards a company for an accounting period shall not—

(a)prevent the I minus E basis being applied for that or any other accounting period in respect of its life assurance business;

(b)affect the calculation of the income or gains of that business for that or any other accounting period in applying that basis.

(6)This section—

(a)shall apply in relation to accounting periods beginning on or after the day on which this Act is passed;

(b)shall apply and be deemed always to have applied in relation to accounting periods beginning before that day[F41but, in relation to any case in which by virtue of section 99 of the Finance Act 1990 losses may be set off under subsection (1) of section 393 of the Taxes Act 1988 without the making of a claim, this section shall have effect as if references to the making of a claim under that subsection were references to the setting off of any loss under that subsection.]

Annotations: Help about Annotation
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Annotations are used to give authority for changes and other effects on the legislation you are viewing and to convey editorial information. They appear at the foot of the relevant provision or under the associated heading. Annotations are categorised by annotation type, such as F-notes for textual amendments and I-notes for commencement information (a full list can be found in the Editorial Practice Guide). Each annotation is identified by a sequential reference number. For F-notes, M-notes and X-notes, the number also appears in bold superscript at the relevant location in the text. All annotations contain links to the affecting legislation.

Amendments (Textual)

F37S. 65(2)(a) substituted (1.5.1995 with effect as mentioned in Sch. 8 paras. 55(2), 57(1) of the amending Act) by 1995 c. 4, s. 51, Sch. 8 paras. 20(2), 55(2), 57(1)

F38S. 65(2)(d) substituted (1.5.1995 with effect as mentioned in Sch. 8 paras. 55(2), 57(1) of the amending Act) by 1995 c. 4, s. 51, Sch. 8 paras. 16(6), 55(2), 57(1)

F39S. 65(2)(b)(c) and words in s. 65(2)(f) repealed (29.4.1996 with effect in accordance with ss. 80-105 of the repealing Act) by 1996 c. 8, s. 205, Sch. 41 Pt. V(3), Note

F40Words in s. 65(3)(b) added (23.3.1999) by S.I. 1999/498, reg. 13

F41Words in s. 65(6) inserted (27.7.1993) by 1993 c. 34, s. 120, Sch. 14 para. 9

Marginal Citations

66 Banks etc. in compulsory liquidation.E+W+S+N.I.

Schedule 12 to this Act (which makes provision in relation to companies that are or have been carrying on a deposit-taking business and are in compulsory liquidation) shall have effect.

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